driscoll complaint

7/24/2019 Driscoll Complaint

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IN THE UNITED STATES DISTRICT COURT

FOR THE WESTERN DISTRICT OF WASHINGTON

AT SEATTLE

BRIAN JACOBSEN, CONNIE

JACOBSEN,RYAN KILDEA and ARICA

KILDEA,

Plaintiffs,

vs.

MARK DRISCOLL and JOHN SUTTON

TURNER,

Defendants.

No.

COMPLAINT

JURY DEMAND

I. SUMMARY OF FACTS AND CLAIMS

1. Over the course of a number of years, RICO Defendants Mark Driscoll and

Sutton Turner, and their co-conspirators, defrauded plaintiffs Brian and Connie Jacobsen and

Ryan and Arica Kildea, and thousands of other individuals who made financial contributions

to Mars Hill Church (hereinafter, MHC or, the Enterprise). Driscoll was an executive

elder and one of the founders of MHC, a Seattle-based church that had over 13,000 in

COMPLAINT - 1

LAW OFFICE OF BRIAN FAHLING6221 116

thAve.NE

Kirkland WA 98033425 202-7092 (Phone)

Facsimile: (855) 238-7539E: [email protected]

Case 2:16-cv-00298 Document 1 Filed 02/29/16 Page 1 of 42


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average Sunday attendance at 15 locations in five states. Turner was MHC general manager

from April 2011 through November 2011, after which he became an executive elder. MHC,

at all times relevant hereto, was a 501(c)(3) religious nonprofit corporation engaged in, and

whose activities affected interstate or foreign commerce.

2. RICO Defendants, at all times relevant hereto, were employed by MHC, and

through a pattern of racketeering activity, conducted or participated, directly or indirectly, in

MHCs affairs. Beginning in 2011, or earlier, and continuing through 2014, RICO

Defendants and their co-conspirators engaged in a continuing pattern of racketeering activity

by soliciting, through the internet and the mail, contributions for designated purposes, and

then fraudulently used significant portions of those designated contributions for other,

unauthorized purposes. It was a pattern of racketeering activity that extended through a

myriad of MHC projects, including the Global Fund, the Campus Fund, the Jesus Festival,

and the promotion of Driscolls bookReal Marriage: The Truth About Sex, Friendship, and

Life Together(Real Marriage).

3. RICO Defendants racketeering activities that are the subject of this lawsuit

began in 2011 when RICO Defendants and their co-conspirators fraudulently utilized MHC

donations and other MHC resources to promoteReal Marriage. Turner, in his capacity as

general manager for MHC, entered into a contract with ResultSource, Inc. (RSI), a

California based marketing company, to promote Driscolls book with the goal of securing a

place on the New York Times bestseller list. The contract called for the church to pay RSI a

$25,000 fee to arrange for the purchase of at least 11,000 books valued at around $210,000

from a variety of online sources using multiple payment methods. This scheme has been

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fairly described as a scam, and resulted in personal inurement to Driscoll and Turner.

Donations designated for each of these projects, or in the case of the Real Marriage

campaign, general funds, were used by RICO Defendants and their co-conspirators for

improper purposes.

4. A church is not simply a building and programs. MHC was a community of

individualsnon-member attendees who considered MHC to be their church home,1

members, elders and pastorswho worked together in pursuit of a common missionto

make disciples and plant churches in the name of Jesus. Needless to say, the four groups are

interdependent and the church cannot function without each of them. However, the RICO

Defendants engaged in a pattern of racketeering activity so deeply embedded, pervasive and

continuous, that it was effectively institutionalized as a business practice, thereby corrupting

the very mission Plaintiffs and other donors believed they were supporting.

5. As noted above, MHC was a community, a body that constitutes a whole. So,

when the RICO Defendants engaged in the pattern of racketeering activity as described

herein, a deadly toxin was injected into the MHC body, ending in the complete destruction of

the church,2which, as a result of RICO Defendants racketeering activities, was compelled to

close its doors in December 2014. If the Jacobsens and Kildeas had known that the RICO

Defendants and their co-conspirators were engaged in the pattern of racketeering activity

1Many MHC non-members donated financially to MHC, they were involved in MHC Community Groups, and

volunteered at the church.2In a bit of irony, in 2012, MHCs webpage discussing its governance, had this quote: It is ultimately Jesuswho closes down churches when they have become faithless or fruitless (Rev. 2:5).

(http://marshill.se/marshill/governance)(last accessed on February 26, 2016)

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http://marshill.se/marshill/governancehttp://marshill.se/marshill/governancehttp://marshill.se/marshill/governancehttp://marshill.se/marshill/governance


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herein described, they would not have made MHC their home church, and would never have

donated to MHC for any purpose.

6. The RICO Defendants conduct violates the Racketeer Influenced and Corrupt

Organizations Act, 28 U.S.C. 1961 et seq., with predicate acts of mail and wire fraud, and

common law fraud. As a result, Defendants misconduct has directly injured the Jacobsens

and Kildeas, and entitles them to monetary damages to be proven at trial.

II. PARTIES AND RELEVANT NON-PARTIES

A. Plaintiffs

7. Plaintiffs Brian Jacobsen and Connie Jacobsen are married and are residents

of King County, Washington. They began attending MHC in April 2008, became members of

MHC in January 2010, and resigned their memberships on April 3, 2014.

8. Plaintiffs Ryan Kildea and Arica Kildea are married and are residents of King

County, Washington. Ryan Kildea attended MHC from 2001-spring 2013. Arica Kildea

attended MHC from 2003-spring 2013. The Kildeas did not formally resign their

memberships until March 2014.

B. RICO Defendants

9. At all relevant times herein, the defendants were executive elders at MHC (at

MHC, the positions of elder and pastor were synonymous3) and are the individuals who

engaged in a pattern of racketeering activity and, at all times relevant hereto, each

participated in the operation or management of MHC, the RICO Enterprise. As part of the

3Seehttp://marshill.se/marshill/leadership(Jesus calls qualified men to lead his church as elders) (last

accessed February 28, 2016)

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http://marshill.se/marshill/leadershiphttp://marshill.se/marshill/leadershiphttp://marshill.se/marshill/leadershiphttp://marshill.se/marshill/leadership


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MHC executive elder team, RICO Defendants were part of a team that is a first-among-

equals committee within the Board of Elders and serves as the executive leadership and

management of Mars Hill Church. In so doing, the Executive Elder Team oversees and

manages the day-to-day affairs of the church and ensures execution of the churchs vision,

mission, and strategic objectives. The Executive Elder Team [] consist[ed] of three elders:

Mark Driscoll, Dave Bruskas, and Sutton Turner. The Executive Elder Team [was] elected on

an annual basis by the Full Council of Elders, as part of their election of the Board of

Elders.4

10. Defendant Mark Driscoll, held various titles during his tenure at MHC,

including executive elder. Driscoll is now a resident of Maricopa County, Arizona.

11. Defendant Sutton Turner, was general manager and then executive elder at

MHC. Turner now resides in San Antonio, Texas.

C. Non-Party Co-Conspirators

12. Certain other non-party individuals and business entities, as set forth below,

played roles, direct or indirect, in RICO Defendants scheme to defraud the Jacobsens,

Kildeas, and other MHC members and non-members who donated monies to MHC in

response to RICO Defendants fraudulent solicitations.

a. Dave Bruskas.

Bruskas became an MHC executive elder in July 2011, and, with

RICO Defendants, participated in the operation or management of MHC. As an MHC

4Seehttps://web.archive.org/web/20120531232846/http://marshill.com/governance

(archived MHC webpage explaining how the MHC was governed) (last accessed on

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https://web.archive.org/web/20120531232846/http:/marshill.com/governancehttps://web.archive.org/web/20120531232846/http:/marshill.com/governancehttps://web.archive.org/web/20120531232846/http:/marshill.com/governancehttps://web.archive.org/web/20120531232846/http:/marshill.com/governance


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executive elder, Bruskas was aware of and participated, either directly or indirectly, in the

RICO Defendants racketeering activities described herein.

b. Kerry Dodd.

Beginning in December 2011, Dodd was chief financial officer for

MHC and participated in the operation or management of the Enterprise. Dodd spent nine

years in the audit group of Deloitte & Touche LLP. In addition, [Dodd] [] compiled a

fantactic [sic] staff of finance and accounting experts to ensure that Mars Hill stewards the

resources God entrusts to us in a way that best honors him [sic].5As MHC CFO, Dodd was

aware of and participated, either directly or indirectly, in the RICO Defendants racketeering

activities described herein.

c. On Mission LLC, Governing Persons-OMCRU Investments LLC and

Lasting Legacy LLC (2013- present) (Governing Person/Manager-Mark Driscoll (2011-

2013)).

On Mission LLC was Incorporated in the state of Colorado (Jan. 28,

2011) and registered in Washington (Dec. 12, 2012) to manage book royalties, printing and

publishing. On information and belief, Driscoll placed all, or a portion of the advance he

received forReal Marriageinto On Mission LLC.On Mission LLC participated, therefore,

either directly or indirectly, in the RICO Defendants racketeering activities by serving as

RICO Defendant Driscolls repository for fraudulently obtained MHC funds.

February, 24, 2016). All archived pages cited hereafter indicate the same in their URL.5Seehttps://web.archive.org/web/20120819062647/http://marshill.com/governance

(last visited on February 24, 2016).

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https://web.archive.org/web/20120819062647/http:/marshill.com/governancehttps://web.archive.org/web/20120819062647/http:/marshill.com/governancehttps://web.archive.org/web/20120819062647/http:/marshill.com/governancehttps://web.archive.org/web/20120819062647/http:/marshill.com/governance


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d. On Mission Charitable Remainder Unitrust (OMCRU), Trustee-

Mark Driscoll.

OMCRU owns OMCRU Investments LLC, which owned, at all

relevant times hereto, 75 % of On Mission LLC, seepara. 12(e), infra, therefore, OMCRU

participated, either directly or indirectly, in the RICO Defendants racketeering activities by

serving as RICO Defendant Driscolls repository for fraudulently obtained MHC funds.

e. On Mission Charitable Remainder Unitrust Investments LLC

(OMCRU Investments LLC) was incorporated in Colorado on Sept. 30, 2011, and

registered in Washington State on Dec. 6, 2012. Governing Person-On Mission Charitable

Remainder Unitrust.

OMCRU Investments LLC owned, at all relevant times hereto, 75% of

On Mission LLC, seepara. 12(c), supra,therefore, OMCRU Investments LLC participated,

either directly or indirectly, in the RICO Defendants racketeering activities by serving as

RICO Defendant Driscolls repository for fraudulently obtained MHC funds.

f. Lasting Legacy LLC, registered in Washington State on April 17,

2012. Member Manager-Mark Driscoll; Grace Driscoll-Member.

Lasting Legacy LLC, at all times relevant hereto, owned 25% of On

Mission LLC,see para. 12(c), supra, therefore, Lasting Legacy LLC participated, either

directly or indirectly, in the RICO Defendants racketeering activities by serving as RICO

Defendant Driscolls repository for fraudulently obtained MHC funds.

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g. Resurgence Publishing, Inc. A for profit corporation that was

registered in Washington State on May 17, 2012. Governing Person-Sutton Turner.

Resurgence Publishing, Inc. became inactive on Sept. 1, 2015.

On information and belief, RICO Defendants and their co-conspirator

Bruskas all signed an MHC Resolution which provided that, that Turner was authorized and

directed to enter into a Services Agreement and Trademark Licensing Agreement (with

Resurgence Publishing, Inc.) on behalf of MHC. Resurgence Publishing, Inc. participated,

either directly or indirectly, in the RICO Defendants racketeering activities by receiving

financial benefit from theReal Marriagecampaign which, as is set forth in detail herein, was

financed by the fraudulent use of MHC donations.

h. Evangelical Council for Financial Accountability (ECFA),

Winchester, Virginia.

(1) On its website, ECFA states: Founded in 1979, ECFA

provides accreditation to leading Christian nonprofit organizations that faithfully demonstrate

compliance with established standards for financial accountability, transparency, fundraising,

and board governance. Collectively, these organizations represent over $25 billion in annual

revenue.6

(2) ECFA also claims that [m]embership in ECFA contributes to

the integrity and image of the entire Christian community. The greater the credibility of the

individual member organization, the greater its contribution to the total membership. That the

image of Christian ministry has been scarred by the actions of a few organizations is

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undeniable. However, membership in ECFA is a powerful statement that a ministry acts

responsibly and honors its commitment to accountability.7

(3) ECFA recognized that [i]ts not always easy to earn peoples

trust. Just as people are more likely to trust an accredited college or a product with the Good

Housekeeping seal, donors are more likely to share their resources with an organization they

believe to be trustworthy. ECFA enhances trust in Christ-centered churches and ministries by

establishing and applying ECFA's Seven Standards of Responsible Stewardship to

accredited organizations.8

(4) In its 2012 Annual Report, MHC printed the following

announcement by ECFA: We are pleased to welcome Mars Hill Church as ECFAs 1,700th

member. By meeting the stringent criteria ECFA applies to all applicants, this certifies to

supporters of the church and the public that Mars Hill meets the highest standards of financial

ethics, faithfulness, and accountability. (Quoting Dan Busby, President, ECFA)9

(5) In a September 20, 2012 post to its website, ECFA featured

MHC and this quote from Driscoll: At Mars Hill, we are dedicated to utilizing the resources

entrusted to us in faithful adherence to our mission to make disciples and plant churches in

the name of Jesus. In proactively submitting ourselves to the scrutiny of ECFA, we openly

state our commitment to proclaim Jesus to our communities with utmost ethical honor. 10

6Seehttp://www.ecfa.org/Content/About(last accessed on February 26, 2016).7See http://www.ecfa.org/Content/Benefits (last accessed on February 26, 2016).8Id.9Seehttp://marshill.se/marshill/annual-report-2012(last accessed on February 26, 2016).10Seehttp://www.ecfa.org/Content/Mars-Hill-Church-Most-Recently-Accredited-Church

(last accessed on February 26, 2016).

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http://www.ecfa.org/Content/Abouthttp://www.ecfa.org/Content/Abouthttp://www.ecfa.org/Content/Abouthttp://marshill.se/marshill/annual-report-2012http://marshill.se/marshill/annual-report-2012http://marshill.se/marshill/annual-report-2012http://www.ecfa.org/Content/Mars-Hill-Church-Most-Recently-Accredited-Churchhttp://www.ecfa.org/Content/Mars-Hill-Church-Most-Recently-Accredited-Churchhttp://www.ecfa.org/Content/Mars-Hill-Church-Most-Recently-Accredited-Churchhttp://www.ecfa.org/Content/Mars-Hill-Church-Most-Recently-Accredited-Churchhttp://marshill.se/marshill/annual-report-2012http://www.ecfa.org/Content/About


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(6) At all times relevant hereto, from September 2012 forward,

ECFA accredited MHC in spite of RICO Defendants ongoing and habitual pattern of

racketeering activity involving RSI, the Global Fund, Campus Fund, and the Jesus Festival.

(7) ECFAs accreditation of churches is, at best, a rubber stamp. In

view of RICO Defendants fraudulent conduct detailed herein, it is inconceivable that ECFA

would have accredited MHC and held it out to the public as meeting the highest standards of

financial ethics, faithfulness, and accountability.

(8) As a result of ECFAs ringing endorsement and declaration that

MHC met the highest standards of financial ethics, faithfulness, and accountability, the

Jacobsens, Kildeas, and thousands of other donors continued to be deceived, making

donations to MHC they would never have made if ECFA had disclosed RICO Defendants

wrongdoing, rather than making a a powerful statement that MHC acts responsibly and

honors its commitment to accountability.

i. Dan Busby. President, ECFA.

(1) In a June 2014 Confidential Memo11from Turner to Lead

Pastors, Turner states that he, another MHC pastor, and the MHC auditor from FY11, FY12,

and FY14,12 had a 2 hr. meeting with Busby. In the memo, Turner indicates that the

meeting was prompted because, [a]s many of you are probably aware, critics started

11SeeWarren Throckmorton, The Behind The Scenes Mars Hill Global Maneuvers, available at

http://www.patheos.com/blogs/warrenthrockmorton/2016/02/29/the-behind-the-scenes-mars-hill-global-maneuvers/(last accessed on February 29, 2016) (the confidential memo is posted in the article).12There is no mention in the memo that the auditor for FY13 was present at the

meeting.

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http://www.patheos.com/blogs/warrenthrockmorton/2016/02/29/the-behind-the-scenes-mars-hill-global-maneuvers/http://www.patheos.com/blogs/warrenthrockmorton/2016/02/29/the-behind-the-scenes-mars-hill-global-maneuvers/http://www.patheos.com/blogs/warrenthrockmorton/2016/02/29/the-behind-the-scenes-mars-hill-global-maneuvers/http://www.patheos.com/blogs/warrenthrockmorton/2016/02/29/the-behind-the-scenes-mars-hill-global-maneuvers/http://www.patheos.com/blogs/warrenthrockmorton/2016/02/29/the-behind-the-scenes-mars-hill-global-maneuvers/


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blogging back in April that Mars Hill was deceptive in our fundraising under Mars Hill

Global. This triggered an investigation in May that completed yesterday.

(2) The memo continued, [a]fter [Busby] presented his ECFAs

[sic] findings, Pastor Anthony and I presented our pre-planned proposed solution, which he

thought 100% solved the current issue. He said that the changes that we made in April with

videos, changes to the giving page, etc. were great and he would not do anything differently.

ECFA will be linking to our FAQs and put out a brief statement saying we are a Member in

Good Standing. ECFA did in fact state that MHC was a member in good standing. Busby

disregarded ECFAs avowal that its Seven Standards of Responsible Stewardship13are not

standards that allow for grading on the curve. Rather, they are pass-fail standards. ECFA

members must comply with all of the standards, all of the time. Busby knew MHC failed the

test, yet he deliberately deceived MHC donors by declaring MHC to be a Member in Good

Standing.

(3) In his Confidential Memo, Turner also stated that ECFA,

our auditors, and Board of AA [Board of Advisors and Accountability], have full access to

this information, but it will not be made public.

(4) Busby and ECFA conspired with RICO Defendants to deceive

MHC donors from the start when they told them that by meeting the stringent criteria ECFA

applies to all applicants, this certifies to supporters of the church and the public that Mars

Hill meets the highest standards of financial ethics, faithfulness, and accountability.

13Seehttp://www.ecfa.org/Content/Standards(last accessed on February 28, 2016)

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http://www.ecfa.org/Content/Standardshttp://www.ecfa.org/Content/Standardshttp://www.ecfa.org/Content/Standardshttp://www.ecfa.org/Content/Standards


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(5) Busby and ECFA, in furtherance of their conspiracy with the

RICO Defendants disregarded their Seven Standards of Financial Stewardship that they

publicly proclaimed on the ECFA website. For example, Standard 7.1 requires: In securing

charitable gifts, all representations of fact, descriptions of the financial condition of the

organization, or narratives about events must be current, complete, and accurate. References

to past activities or events must be appropriately dated. There must be no material omissions

or exaggerations of fact, use of misleading photographs, or any other communication which

would tend to create a false impression or misunderstanding. As demonstrated herein, RICO

Defendants continuously violated every requirement of Standard 7.1, the only exception

being, perhaps, that their references to past activities were appropriately dated.14

(6) Busby and ECFA, in furtherance of their conspiracy with the

RICO Defendants also disregarded Standard 7.2 which requires that [s]tatements made

about the use of gifts by an organization in its charitable gift appeals must be honored. A

givers intent relates both to what was communicated in the appeal and to any instructions

accompanying the gift, if accepted by the organization. Appeals for charitable gifts must not

create unrealistic expectations of what a gift will actually accomplish.15

j. ResultSource Inc. (RSI), San Diego, CA.

(1) RSI contracted with MHC to conduct a bestseller campaign for

Driscolls book,Real Marriageon the week of January 2, 2012. The bestseller campaign was

intended to placeReal Marriageon The New York Times bestseller list for the Advice How-

14Seeid.15See id.

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To list. RSI also promised to help placeReal Marriageon the Wall Street Journal Business,

USA Today Money, BN.com (Barnes & Noble), and Amazon.com best-seller lists. RSI

participated, either directly or indirectly, in the RICO Defendants racketeering activities by

contacting with MHC, and receiving financial benefit from fraudulently obtained MHC

donations to promote Driscolls book,Real Marriage.

(2) According to the terms of the contract between RSI and MHC,

RSI will be purchasing at least 11,000 total orders in one-week. The contract called for the

author to provide a minimum of 6,000 names and addresses for the individual orders and

at least 90 names and address [sic] for the remaining 5,000 bulk orders. Please note that it is

important that the make up of the 6,000 individual orders include at least 1,000

different addresses with no more than 350 per state.

(3) The scheme described in the contract was meant to outsmart

systems put in place by the New York Times and other list compilers to prevent authors from

buying their way onto best-seller lists. RSI used other techniques to work around the

safeguards of the best-seller lists. According to its agreement with Mars Hill, RSI will use

its own payment systems (ex. gift cards to ensure flawless reporting). Note: The largest

obstacle to the reporting system is the tracking of credit cards. RSI uses over 1,000 different

payment types (credit cards, gift cards, etc).16Real Marriagetopped the New York Times'

hardcover advice bestseller list on Jan. 22, 2012. The following week, it was gone.

16Warren Cole Smith, Unreal sales for DriscollsReal Marriage, available at

http://www.worldmag.com/2014/03/unreal_sales_for_driscoll_s_real_marriage

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13. At all relevant times, each and every non-party co-conspirator named in the

foregoing paragraph was acting in concert with, or as an agent for, one or more of the RICO

Defendants and, further, as described in detail below, conspired with one or more of the

RICO Defendants to perform or authorize the acts averred herein.

III. SUBJECT MATTER JURISDICTION AND VENUE

14. This Court has subject matter jurisdiction over the Jacobsens claims under 28

U.S.C. 1331, and under 18 U.S.C. 1964(c). The Jacobsens first claim for relief arises

under 18 U.S.C. 1961 et. seq., as herein more fully appears. Plaintiffs state law claim

arises out of the same case or controversy as their federal law claims, as all claims in this

action arise out of a common nucleus of operative facts. Thus, this Court also has

supplemental jurisdiction over the Jacobsens state law claims under 28 U.S.C. 1367.

15. Venue is proper in this District under 28 U.S.C. 1391(b)(2), as a substantial

number of the events giving rise to this action occurred in this District. Venue is also proper

under 18 U.S.C. 1965.

IV. FACTUAL BASIS FOR CLAIMS

16. This Complaint details how MHC RICO Defendants, together with their co-

conspirators, brought to ruin a once thriving church17by fraudulently exploiting the trust,

generosity, and sense of community of thousands of people. RICO Defendants and their co-

conspirators induced plaintiffs and countless others to donate millions of dollars to various

MHC projects/missions, believing that their donations would be used as they had designated.

17The last sermon preached at MHC occurred on December 28, 2014. MHC is still

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Instead, their designated donations were fraudulently used by RICO Defendants and their co-

conspirators for purposes not intended. Together, with the fraudulent representations about

how designated donations would be used, RICO Defendants and their co-conspirators

fraudulently authorized the use of MCH donations to promote Driscolls book,Real

Marriage, with earnings from the sales ofReal Marriageinuring to the benefit of Driscoll

and Turner.

17. MHC, a non-profit charitable religious corporation at all relevant times hereto,

was subject to the provisions of IRC 501(c)(3), which provides that exemption from federal

income tax for organizations that are "organized and operated exclusively" for religious,

educational, or charitable purposes is conditioned on the organization being one "no part of

the net income of which inures to the benefit of any private shareholder or individual."

18. And though it creates no private right of action, RICO Defendants fraudulent

conduct violated RCW 19.09.100(15), which provides:Any entity soliciting contributions for

a charitable purpose must not include in any solicitation, or in any advertising material for a

solicitation, or in any promotional plan for a solicitation, any statement that is false,

misleading, or deceptive. All solicitations, advertising materials, and promotional plans must

fully and fairly disclose the identity of the entity on whose behalf the solicitation is made.

shown as Active on the website for the Washington Secretary of State. See

https://www.sos.wa.gov/corps/search_results.aspx?search_type=simple&criteria=all&name_type=contains&nam

e=Mars+hill+church&ubi=Washington Secretary of State (last accessed on February 28, 2016).

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A. Global Fund Promoted as a Fund for International Missions, but RICODefendants Diverted Majority of Global Fund Donations to MHCExpansion

19. There was a time when the RICO Defendants did not entirely conceal from

potential donors the fact that their donations to Mars Hill Global would be going primarily to

the expansion of domestic programs and not to international missions as the name suggested.

For example, in a May 7, 2009 post by Jamie Munson (then an executive pastor of MHC), as

well as in the MHC 2009 Annual Report released on August 5, 2009, Mars Hill Global was

described as being launched to communicate the expansion plans of MHC, Acts 29, and

Resurgence to change people around the world. In November 2011, however, the RICO

Defendants and their co-conspirators decided that if they wanted to avoid the fiscal cliff

that MHC was heading toward, it would be necessary to create a new financial model; that

new model included tapping into MHCs sleeping giant of potential global donors. To woo

these new donors, though, RICO Defendants and their co-conspirators intentionally deceived

all potential donors by marketing Global Fund as a fund for international missions, when, in

fact, they intended to use the majority of the donations for domestic expansion of MHC.

1. Dont tell the Public that we will only be giving a small percentageof Global Fund Donations to support the Pastors and Missionariesin the Third World

20. In November of 2011, the month Turner became an executive pastor at MHC,

an internal memo was distributed detailing the RICO Defendants strategy to raise funds for

MHC expansion under the guise of raising funds for international missions. The memo states,

in pertinent part:

The vision and activities connected to the Global Fund must focus on

reaching the worldwide church. As a person sits in front of his

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computer in Qatar, London, Cape Town, or Sydney, he does not care

about Mars Hill planting in Everett. As an international citizen,

however, he cares greatly about global evangelism, global missions,

global causes for Jesus, global church-planting, etc. Though the

sentiment is rare among Americans, people abroad feel a sense

belonging and kinship with the global community.

Of the money that comes into the Global Fund, designate a fixed

percentage internally for highly visible, marketable projects such as

mission trips, orphan care, support for pastors and missionaries in the

third world, etc. (ten to fifteen strategic operations in locations where

Mars Hill wants to be long term). This percentage should be flexible

(not a tithe), and not communicated to the public. Support for Mars

Hill Global would be support for Mars Hill Church in general, but the

difference and the draw would be that a portion of Global gifts would

also benefit projects that spread the gospel and serve the needs of

people around the world.

Every podcast would begin with a 10-second spot from Pastor Mark,

inviting people to come on mission with Mars Hill Global to spread

the gospel and help the helpless. This message would promote the

Mars Hill Global giving website.

The Global Fund could be beneficial in a number of ways, besides the

obvious gain of increased funding:

For a relatively low cost (e.g. $10K/month), supporting a fewmissionaries and benevolence projects would serve to deflect

criticism, increase goodwill, and create opportunities to influence and

learn from other ministries.

Many small churches who may consider joining Mars Hill hesitate

because they do not believe we support missions. While we need

to continue to challenge the assumptions underlying a claim, the

Global Fund would serve as a simple, easy way to deflate such

criticism and help lead change in these congregations.

The ability to communicate and interact with supporters of Mars HillGlobal provides an avenue for promoting events, recruiting leaders,

and developing Mars Hill core groups in strategic cities.

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21. Beginning in 2012, video footage of the highly visible mission projects,

those in Ethiopia and India, was regularly played prior to sermons as commercials for the

MHC Global Fund. The sermons were also made available on the MHC website.

22. In a video that precedes every sermon on the Mars Hill website from

November 24, 2013 to April 27, 2014, Turner stated that both Mars Hill members and those

who watch online should give to Mars Hill Global. In the video, Turner says,

Howdy Mars Hill Church, Pastor Sutton Turner here and Im in Ethiopia, and

I just want to thank Jesus for continuing to use Mars Hill Church to make

disciples and plant churches. Mars Hill Global is the arm of Mars Hill Church

that makes disciples and plant churches all over the world. We not only do

church planting, but we help better equip church planters. Most recently, weshipped and now distributed a thousand Bibles into Amharic which is the

language here in Ethiopia, and we launched a project to translate Pastor Mark

Driscolls Doctrine book into Spanish. We have people from over 29 different

countries that are giving on a monthly basis to Mars Hill Global.

So whether youre a member of one of our Mars Hill Church locations in the

United States or youre one of 100,000 podcasters every single week, we

encourage you to pray about giving above and beyond your tithe to Mars Hill

Global. Thank you and lets see more materials translated, more pastors sent

out, more churches planted, and more people saved by Jesus Christ.

23. During the period from 2012 through June 20, 2014, thirty of the thirty-three

videos promoting the Global Fund on the MHC website featured videos that focused

exclusively, or almost exclusively on Ethiopia or India.

24. In 2012, MHC began referring to Mars Hill Global as the arm of the church

that did missions, and on its website Global Fund was listed as a giving option.

25. In the June 2014 Confidential Memo, seepara. 12(i), supra, Turner wrote,

During this current season where our church and our integrity are taking a beating in the

public, we are going to be pushed into conversations around the word transperancy. There

are two questions that will be thrown around:

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How much money did Mars Hill send to Ethiopa & India? Meaning

the questioner wants to know where everything is spent.

The second What is the compensation of our pastors?

Turners response: We will not respond to these two questions.

2. RICO Defendants avoided the fiscal cliff by moving to a newfinancial model, one designed to redirect Global Fund donationsto MHC expansion without notifying Global Fund donors

25. It turned out that the decision to market the Global Fund as fund for spreading

the gospel in Ethiopia and India was wildly successful. In a A Letter From Pastor Mark

Driscoll, dated January 25, 2013, and addressed to friends and family of Mars Hill

Church, Driscoll wrote about how MHC avoided its own fiscal cliff, by moving to a new

financial model. Driscoll continued, one of the bright spots in all of this [] is that more and

more giving is now coming from our extended family. People around the world are not only

listening to our sermons and praying for our ministry, but theyre also giving to support what

God is doing through our church. On a monthly basis, giving from Mars Hill Global now

equals the giving at our largest churches. And over 2,000 people from outside our church

have created an account at MarsHill.com. In an October 11,2013 post on the MHC website,

Turner reported that [t]he monthly giving from our extended family of Mars Hill Global has

grown from $18,000 to $157,000 in the last two years.

26. By May 2014, the Global Fund was taking in about $300,000 monthly.18

18Warren Throckmorton, Mega Church Methods: Mars Hill Global Wakes the Sleeping Giant posted May 14,

2014 at http://www.patheos.com/blogs/warrenthrockmorton/2014/05/14/megachurch-methods-mars-hill-global-wakes-the-sleeping-giant/ (last accessed February 22, 2016).

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27. According to the MHC 2013 Annual Report, Mars Hill Global was a fund

designed to help spread the Gospel internationally:

28. According to the 2013 Annual Report, the first full year of the undisclosed

redefinition of the Global Fund, nearly $2.3 million was donated to the Fund in the fiscal year

from July 2012 to June 2013, however, disbursements from that fund were not reported, nor

have they ever been made public.

29. In the FY 2013 Annual Report, the only projects listed under MHC Global

were international missions projects.

30. Though disbursements from Global Fund are not reported, it appears from the

information that is in the 2013 Annual Report that only $120,000 (5 percent) of the $2.3

million raised for international missions was actually sent overseas.

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3. Global Fund scrubbed from MHC website

31. On May 14, 2014, Warren Throckmorton, a Grove City College professor and

investigative blogger at Patheos.com, posted on his blog an article entitled,Mega Church

Methods: Mars Hill Global Wakes the Sleeping Giant.19Throckmortons article was the first

to expose the Global Fund as a revenue generator for MHC, rather than a fund for global

missions.

32. Sometime in May 2014, after Throckmortons article was posted, Global Fund

was scrubbed from the MHC website.

33. Prior to Throckmortons May 2014 article, MHCs website allowed donors to

designate gifts to the Mars Hill Global Fund which was distinct from the Mars Hill General

Fund. After Global Fund was scrubbed from the website, donations could only be made to the

general fund.

4. RICO Defendants knew from the start that donations to theGlobal Fund were restricted and could not be used forunrestricted purposes

34. On October, 1 2014, Throckmorton posted the November 2011 memo that

detailed the RICO Defendants and co-conspirators strategy to raise funds for MHC expansion

under the guise of raising funds for international missions. Within a week of the posting,

MHC communications director, Justin Dean, was asked about the legitimacy of the memo

posted on Throckmortons blog. Dean responded by saying,

The memo posted on that blog is not an official memo or active working

document, and to the best of my knowledge it never was. Im not sure where it

19See http://www.patheos.com/blogs/warrenthrockmorton/2014/05/14/megachurch-methods-mars-hill-global-

wakes-the-sleeping-giant/

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came from. Most likely it was a doc somebody on staff made as a proposal and

it never went anywhere from there. Id be happy to answer any questions you

have about Global. Obviously it was never our intention to deceive donors,

and to date we have received very few comments from actual donors who

have been confused.

35. After receiving Deans explanation, the interrogator went to the Global FAQ

page and reproduced this paragraph:

Where have past gifts been used? During fiscal years 2009-2014, over

$10MM dollars has been given to Mars Hill Church by the Mars Hill Global

Family. During that same time period $22.48MM has been spent on church

planting in the US, India and Ethiopia. In 2009-11 over 80% of funds given by

the Mars Hill global family went to Acts 29 church planting and funds were

consistently spent in India for church planting in each of those years. In 2012-

2014 expenditures for church planting efforts in India and Ethiopia wereincreased with the preponderance of expenses related to church plants and

replants in the U.S.

36. In reference to the above paragraph, Dean was asked:

I couldnt tell from the FAQ on what the church spent on missions from 2012-

14 and where it was spent. Is it possible to break down the yearly giving for

those years to the Global Fund and what it was spent on?

37. Dean replied:

Despite what you may have read on blogs, we never had a separate fund for

Global so we dont have separate accounting for Global. We have used some

confusing communications in the past, and have done much to correct that, but

Global has never been a designated fund. We do spend money on church

planters in Ethiopia and India (as indicated in the FAQ), but we dont provide

specific accounting of our different expenses. Just like we dont provide how

much we specifically spent on pens and tape, we dont break out other

expenses. I hope that makes sense.

38. It was then pointed out to Dean that Rachel Macor, a former staffer in Mars

Hill finance department, had recently stated,

I believe that Mars Hill leadership knew from the start that donations to the

Global Fund were restricted and could not be used for unrestricted purposes.

In fact, there was a separate account for Global in the books to note this

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distinction. During my time in the Finance Department, there was a pointed

emphasis to be sure that restricted funds were not co-mingled with general

funds. I believe that among the Financial Leadership Team (which includes

multiple CPA-level staff, who would know all the ins and outs of restricted

and unrestricted donations), there was a clear awareness that any restricted

funds could not be directed to the general fund. Without a doubt in my mind,Mars Hill leadership knew what they were doing.

39. Dean was also reminded that [t]here is a drop-down menu that lists the

Global Fund as a fund separate from the General Fund, Campus Fund, Easter Fund, etc.

Additionally, this video shows the Giving page on the Mars Hill website (pre-May 2014) that

also lists the Global Fund as separate from the General Fund. See

https://www.youtube.com/watch?feature=player_embedded&v=a4EFX3-RXyg(last accessed

February, 23, 2016).

40. After being confronted with the fact there was a separate Global Fund

Account, Dean responded, I was incorrect to say we never had a separate fund setup for

Global. He went on to claim that, [t]he details of this issue can be confusing, I was

confused as well and I gave you a wrong answer, and I apologize. I have done some checking

and prior to 2012 we did have a separate fund. However, since 2012 we have not had a

designated fund for missions work or international church planting. Beginning in 2012 the

term Global Fund was used on our website to distinguish between global donors and local

church donors. We realized the terminology used was confusing so we changed it to General

Fund (Local & Global).

41. Dean admitted, then, that beginning in 2012, the RICO Defendants placed

donations designated for the Global Fund into the general fund, but failed to inform donors

of that critical fact.

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https://www.youtube.com/watch?feature=player_embedded&v=a4EFX3-RXyghttps://www.youtube.com/watch?feature=player_embedded&v=a4EFX3-RXyghttps://www.youtube.com/watch?feature=player_embedded&v=a4EFX3-RXyg


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B. RICO Defendants Scam NYT Bestseller List for Driscoll Book usingMHC Donations to Pay for the Scam

42. In a June 27, 2011 email from Kevin Small from ResultSource, Inc. (RSI)

Jamie Munson, a former MHC executive pastor, was described as working with his elder

board to determine if they can and will hire ResultSource. In the same email thread,

Driscoll was described as being at Thomas Nelson all day Friday in meetings with the

Thomas Nelson team. Rick Sprull at Nelson has told us that they will cooperate with Mars

Hill and ResultSource to make the program work.

43. In September 2011, Driscoll was asked whether he would like to proceed

with the Real Marriage giving campaign. The Real Marriage giving campaign would

promote his book,Real Marriage, by getting it on the New York Times bestseller list. The

means used to accomplish that end would be dubious at best, and the expenditure of MHC

funds to promote the project would be fraudulent and in violation of IRS regulations, so an

internal memo weighing the pros and cons of the undertaking was prepared to help Driscoll

reach a decision:

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44. The memo asks: Is it OK for Mars Hill to take a financial risk with the giving

campaign?, and Is it acceptable for Mars Hill to pay $20 for a book when on mission is

purchasing them for $7 for the Real Marriage events? The memo concludes by warning,

[i]f this information was ever made public it could be viewed by the IRS or someone

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muckraking that a large giving campaign was set up for the personal profit of Mark Driscoll

and [a]s a result of this giving campaign, you will make a royalty of [sic] every one of the

books that is given away. So in a sense it could be conjectured that youre making money

directly off of a Mars Hill fundraiser.

45. Undeterred by the warning, RICO Defendants and MHC forged ahead with the

Real Marriage giving campaign. On information and belief, RICO Defendants and co-

conspirator Bruskas all signed an MHC Resolution which provided that, that Turner was

authorized and directed to enter into a Services Agreement and Trademark Licensing

Agreement (with Resurgence Publishing, Inc.) on behalf of MHC.

46. Turner is listed as the governing person for Resurgence Publishing, Inc., a

for profit corporation .

47. Turner signed the contract with RSI on October 17, 2011.20

48. The contract states that RSI was engaged to conduct a bestseller campaign for

your book,Real Marriageon the week of January 2, 2012, and [t]he bestseller campaign is

intended to placeReal Marriageon the New York Times bestseller list for the Advice How-

To list. Additionally, RSI will work to putReal Marriageon The Wall Street Journal

Business Best Seller list, and on the USA Today Money list, BN.com and Amazon.com

bestseller list.

49. According to the terms of the contract between RSI and Mars Hill, RSI will

be purchasing at least 11,000 total orders in one-week. The contract called for the author

20http://wp.patheos.com.s3.amazonaws.com/blogs/warrenthrockmorton/files/2014/03/RSIMHCContract.png

(last accessed on February 26, 2016).

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http://wp.patheos.com.s3.amazonaws.com/blogs/warrenthrockmorton/files/2014/03/RSIMHCContract.pnghttp://wp.patheos.com.s3.amazonaws.com/blogs/warrenthrockmorton/files/2014/03/RSIMHCContract.pnghttp://wp.patheos.com.s3.amazonaws.com/blogs/warrenthrockmorton/files/2014/03/RSIMHCContract.pnghttp://wp.patheos.com.s3.amazonaws.com/blogs/warrenthrockmorton/files/2014/03/RSIMHCContract.png


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to provide a minimum of 6,000 names and addresses for the individual orders and at least 90

names and address [sic] for the remaining 5,000 bulk orders. Please note that it is important

that the make-up of the 6,000 individual orders include at least 1,000 different addresses with

no more than 350 per state.

50. The purpose of the instructions regarding the names and addresses was to

outsmart systems put in place by The New York Times and other list compilers which are

intended to prevent authors from buying their way onto bestseller lists. RSI also managed the

payments for the books in order to work around the safeguards of the bestseller lists. The

largest obstacle set up by the bestseller reporting system is the tracking of credit cards. To get

around that, RSI used over 1,000 different payment types (credit cards, gift cards, etc.).

51. The contract called for MHC to pay RSI a fee of $25,000. In addition, MHC

also paid for the purchase of at least 11,000 books. The 6,000 individual orders identified in

the contract had to be purchased from retail outlets at the retail price of $20 or more in order

for the books to show up in the New York Times sales count. The books in the bulk orders,

according to the contract, would have cost $18 or more. If Driscoll had exercised his option

to purchase bulk quantities, his discounted price would have been $7.

52. The copyright to Driscolls book, Real Marriage, is owned by On Mission

LLC (Driscoll, Manager), which is 75 percent owned by On Mission CRUT (Driscoll,

Trustee), and 25 percent owned by Lasting Legacy LLC (Driscoll, Manager). Moreover, for

the 2012 tax year, On Mission CRUT reported income of $464,340, which, on information

and belief, includes, at least in part, Driscolls advance forReal Marriagefrom the publisher.

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53. In late November 2011, just five weeks before the release ofReal Marriage,

Driscoll met with MHCs Community Group leaders to brief them on how they could help

promote what was described as a Real Marriage campaign.21

54. In addition to the fraudulent use of MHC donor funds for theReal Marriage

campaign, RICO Defendants fraudulently employed other MHC resources as well: MHC

staff gathered the over 6,000 addresses MHC was required by contract to provide to RSI.

MHC media and communications staff was also used to promoteReal Marriage, including

scheduling and servicing speaking engagements, all on church time.

55. In December 2011, as part of the RSI campaign, MHC implemented a Real

Marriage donation promotion by creating a web page where donors could obtain a copy of

Real Marriagein exchange for a minimum $25 contribution.22

56. In March 2014, writing for World Magazine, Warren Cole Smith exposed

RICO Defendants role in using MHC funds to scam the New York Times bestseller list.23

C. $2.99 Million Raised in Targeted Campaign for MHC Projects, But of all

the Web Postings Promoting the Campaign, Only One Website Post,Buried in a Footnote, Disclosed to Donors that All Gifts to the CampaignWere Considered Donations to the General Fund

57. In the fall of 2013, MHC conducted a large fundraising drive that was part of a

time of communal prayer. Between October 11 and December 29, 2013, there were a great

number of web posts to the MHC website, the primary means of communicating to MHC

21Seehttp://www.pajamapages.com/mark-driscoll-prepared-hundreds-of-mars-hill-leaders-to-push-push-push-his-book/22Seehttp://web.archive.org/web/20111127143332/http://realmarriagebook.com/index.php?route=product/

product&filter_name=real&product_id=50(last accessed February 26, 2016)

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http://www.pajamapages.com/mark-driscoll-prepared-hundreds-of-mars-hill-leaders-to-push-push-push-his-book/http://www.pajamapages.com/mark-driscoll-prepared-hundreds-of-mars-hill-leaders-to-push-push-push-his-book/http://www.pajamapages.com/mark-driscoll-prepared-hundreds-of-mars-hill-leaders-to-push-push-push-his-book/http://www.pajamapages.com/mark-driscoll-prepared-hundreds-of-mars-hill-leaders-to-push-push-push-his-book/http://web.archive.org/web/20111127143332/http:/realmarriagebook.com/index.php?route=product/%20product&filter_name=real&product_id=50http://web.archive.org/web/20111127143332/http:/realmarriagebook.com/index.php?route=product/%20product&filter_name=real&product_id=50http://web.archive.org/web/20111127143332/http:/realmarriagebook.com/index.php?route=product/%20product&filter_name=real&product_id=50http://web.archive.org/web/20111127143332/http:/realmarriagebook.com/index.php?route=product/%20product&filter_name=real&product_id=50http://web.archive.org/web/20111127143332/http:/realmarriagebook.com/index.php?route=product/%20product&filter_name=real&product_id=50http://web.archive.org/web/20111127143332/http:/realmarriagebook.com/index.php?route=product/%20product&filter_name=real&product_id=50http://www.pajamapages.com/mark-driscoll-prepared-hundreds-of-mars-hill-leaders-to-push-push-push-his-book/http://www.pajamapages.com/mark-driscoll-prepared-hundreds-of-mars-hill-leaders-to-push-push-push-his-book/


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members and attendees, promoting the Drive. The following are excerpts from some of those

posts:

a. October 11, 2013 Family Update at the Vision Breakfast: Driscoll

shared his vision for an outreach event to be held next August, tentatively titled Jesus

Festival. The event will be geared toward worship and evangelism with the hope of

Christians bringing their non-Christian friends to hear the gospel proclaimed. Think Easter in

the summer.

b. November 17, 2013 40 Days of Prayer Book: In the summer of

2014, Mars hill will be hosting an evangelistic, outdoor outreach, aptly titled The Jesus

Festival, at Marymoor Park in Seattle. This will be a family event with activities for the kids,

music, and amazing gospel preachers. This will be a great opportunity for outreach in the

community and to build unity among the Bible-teaching churches in the Seattle area.

c. November 19, 2013 The Next Season at Mars Hill: God is opening

Awesome Doors: Malachi teaches that God is a generous giver who requires generosity

from his peoplenot as an empty religious gesture, but as an act of sincere, liberating

worship. During this season , we as a church will be raising moneyabove and beyond our

normal budgetto help fund a few special projects related to the long-term health of our

church legacy:

New homes for church families: January 12, 2014, is a huge day! Well be

opening new buildings for Mars Hill Church in Tacoma, Everett, Olympia,

23Warren Cole Smith, Unreal sales for DriscollsReal Marriage posted March 5, 2014 at

http://www.worldmag.com/2014/03/unreal_sales_for_driscoll_s_real_marriage(last accessed February 22,

2016).

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http://www.worldmag.com/2014/03/unreal_sales_for_driscoll_s_real_marriagehttp://www.worldmag.com/2014/03/unreal_sales_for_driscoll_s_real_marriagehttp://www.worldmag.com/2014/03/unreal_sales_for_driscoll_s_real_marriage


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and Huntington Beach, and its the grand opening for Mars Hill Phoenix. On

that day, we also launch the book of James.

Christian education: In the coming year, well be partnering with two

universities to offer an accredited undergraduate and graduate education in

Bellevue, primarily to equip young men and women heading out into a worldwhere Christians are an increasingly despised minority.

Jesus Festival: On August 22, well host our first-ever Jesus Festival at

Marymoor Park near Seattle. Everyone at Mars Hill churches far and near is

invited for this unique opportunity to grow together and evangelize within the

surrounding community. Fun for kids, music, gospel preaching, baptisms, and

good times at no charge because its always good to practice for the kingdom

with a party!

Mars Hill Global: In 2014, we plan to support 20 additional church planters

in Ethiopia, and 10 additional church planters in India73 overall, for alegacy that extends beyond our own congregation and country.

Well have much more to share about these projects in the coming weeks. Go

to marshill.com/give to give online and setup recurring giving for 2014. We are asking the

people of Mars Hill to give an additional $2 million above and beyond normal giving by the

end of 2013 to make all this happen. Please pray about what your portion is and pray for

everyone to do their part.

d. November 20, 2013 Family Update at the Vision Breakfast Hosted in

Everett: Then in August, we will have our first ever Jesus Festival, bringing thousands

more to Marymoor Park in Redmond, Washington for a time of family fun, worship, and

gospel preaching.

e. November 24, 2013 Mark Driscoll SermonHow Have You Loved

Us?: Part of our Living for a Legacy series, is letting you know whats coming up this

summer. Weve got something brand-new and super cool. Were calling it the Jesus Festival.

Well pick a nice day, be outside. Were going to have bouncy houses for kids, lots of fun

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stuff. Were also going to do baptisms and preaching and music at Marymoor Park. All the

Mars Hill Churches are welcome. We want to see you all there.

f. November 25, 2013 These are the specific areas for prayer that will

be highlighted during this intentional time: 1. Mars Hill Global 2. Jesus Festival 3. Biblical

University and Seminary hosted at Mars Hill Church 4. Five Mars Hill church plant/replants:

Phoenix, Olympia, Tacoma, Everett, and Huntington Beach 5. Pastor Mark Driscolls new

campaign on Christianity and culture beginning September 7, 2014 During these 40 days, we

are praying for $2 million over and above our donors tithes to fund these endeavors in

2014.

g. November 26, 2013-Legacy Thru Prayer What are we praying for?

1) Mars Hill Global, 2) Jesus Festival, 3) Leadership Training,, 4) Mars Hill Church

Plants/Replants, and 5) Our Most Evangelistic Campaign. During these 40 days of prayer

and 5 days of fasting, we are praying for $2 million over and above our donors tithes to fund

these endeavors in 2014.

h. December 1, 2013 Mark Driscoll Sermon Where is My Honor?:

Here are our year-end goals. We want to meet budget. Wed like to bring in an additional $2

million surplus for a number of projects. Part of our Living for a Legacy series, is letting

you know whats coming up this summer. Weve got something brand-new and super cool.

Were calling it the Jesus Festival. Well pick a nice day, be outside. Were going to have

bouncy houses for kids, lots of fun stuff. Were also going to do baptisms, and preaching, and

music at Marymoor Park. All the Mars Hill churches are welcome. We want to see you all

there.

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i. December 10, 2013 City Post Weekly Update MH Sammamish:

This week we are praying for the Jesus Festival that will take place in August of 2014.

Reflecting on the summertime weather alone feels worth it, but consider that well likely see

thousands gathered and hundreds respond to the gospel and be baptized. This will be a great

outdoor celebration with games, food, and music. Lets pray together this week for Jesus to

do amazing things this summer.

j. December 15, 2013- Mark Driscoll Sermon How Have We Wearied

Him?: In addition, were asking you to give generously, and well collect our tithes and

offerings now. And what were looking for is a big year-end bump of a few million dollars, at

least to help us set up our churches, our schools, and our church-planting efforts for the

future.

k. December 18, 2013 2013 Annual Report: What can we do to leave a

legacy of faithfulness that blesses the next generation and helps our kids and grandkids

accomplish the work God has yet in store? Reach more people: In August 2014, we will host

a huge evangelistic .rally in the Puget Sound region. The Jesus Festival will not only be an

opportunity to reach thousands of people for Jesus, it will also be an opportunity for us to

come together as one Mars Hill Church family. We invite you to participate in our year-end

giving campaign. Its our goal to raise $2 million above and beyond our regular tithes and

offerings to help us build a legacy to equip the next generation.

l. December 27, 2013 Goodbye 2013, Hello 2014: Mars Hill Year-End

Update: Mars Hill is praying for $2 million in contributions above and beyond normal tithes

to be given by the end of the year. There are only a few more days left in 2013 that you can

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give toward the mission of Jesus as he makes disciples and plants churches through Mars

Hill. This will go to fund many exciting endeavors in 2014, including the five church

plant/replants, the Jesus Festival, Mars Hill Schools, and supporting 30 additional church

planters in Ethiopia and India.

m. December 29, 2013 Mark Driscoll Sermon Will Man Rob God?:

But there are still lots to do. Right now were praying for $2 million to come in above and

beyond normal tithes and offerings to go to things like finishing the renovation of our five

churches, sponsoring additional church planters in Ethiopia and India, going from forty-three

church planters to 73 for 2014. Next, its going to go to fund operating costs to get Corban

University at Mars Hill Church and Western Seminary at Mars Hill Church launched fall

2014. Finally, its going to go to fund Jesus Festival 2014. Its gonna be on Friday August the

22nd. Its gonna be outdoor baptisms, a celebration of Jesus Christ, and an old-style outside

revival. Mars Hill Church, we are so excited to end the year 2013 in an amazing way and

launch 2014, which is poised to be our greatest and most evangelistic year ever.

n. January 13, 2014 We Prayed For $2 Million. . . What Happened?:

In August we have the Jesus Festival, an outdoor event in Seattle that will boldly proclaim

the name of Jesus and clearly announce the good news of grace. We are praying for a work of

the Spirit that would lead many, many people to Jesus that day. In the final weeks of 2013,

we were asking God to provide $2 million above and beyond our normal tithes and offerings

in order to accomplish these exciting endeavors in 2014. Guess what? HE DID IT! We

received $2,991,852 above our budget by December 31st!

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o. March 8, 2014 City Post MH Jesus Festival: If you have not

already heard, Mars Hill has an epic summer festival lined up for August 20-22nd at

Marymoor Park, the Jesus Festival. This will be the first real reformed tribe rally of its

kind and huge numbers are expected to come. No doubt many will enter into The Great

Family and be baptized. Its going to be phenomenal. While many particular details are in the

works, one thing is for certain, its all hands on deck. We will need every single MHK

volunteer available to help staff the event. Hours, rotations, etc, are yet to be dialed in. But

the greater our numbers, the greater our ability to share in the fun. All MH churches will be

invited. We will have all kinds of kids games, activities, events, teaching, entertainment,

music and calls to response. Yes, were going to rally many kids to come to saving faith in

our Lord Jesus! Well worth the effort. Lives will be forever changed. And, it will be a great

time for all of us involved in Kids ministry to rally together. Please secure the dates in your

calendar, get vacation blocked out with your employer, and start spreading the word. Fill out

this quick 30 second form to RSVP. Thank you.

p. May 13, 2014 City Post Weekly Update MH Sammamish: Our

previous plans for a big summer event at Marymoor Park (i.e. Jesus Festival) are being

postponed for a future time. After additional research an event of this scale is too expensive

at this time and we are committed to being good stewards of what God has entrusted to us

and staying focused on our mission of making disciples and planting churches.

q. Of the almost $3 million that was donated to the four designated

projects, only the new homes for church families and the Leadership Training project

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apparently received any of the designated funds. The Jesus Festival was cancelled, and MHC

has never provided information about the amount received, if any, by the Global Fund.

r. On information and belief, RICO Defendants failed to use the majority

of funds received from the end-of-year campaign for the purposes designated by the donors.

Instead, the majority of the designated donations were fraudulently redirected to other uses.

D. RICO Defendants Fraudulently Redirected Designated Campus FundDonations to Non-Designated Uses

58. Among a number of options available to MHC donors, was an online option

to designate their gift to the Campus Fund, the MHC satellite campus they attended. RICO

Defendants knew that Campus Funds were restricted and could not be used for any purpose

other than that stated by the donor, nevertheless, RICO defendants redirected Campus Fund

donations to other uses. From December 2009-August 2011, Driscoll and Turner (then as

General Manager) conspired to, and in fact did, agree to redirect funds designated by donors

for specific campuses to the general fund. Donations to the Campus Fund were made in

church, online (PayPal and credit card), and by mail. Campus Fund donations were

fraudulently used for the general fund despite donor designations. It was only after some

major donors (those donating $1,000 or more to the Campus Fund) began complaining

because they did not see their donations being used for their respective MHC campuses that

the defendants asked those donors if it was ok if their donations were redirected to other uses.

The Jacobsens were major donors to the Campus Fund but were never asked if their

donations could be redirected.

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V. INDIVIDUAL ALLEGATIONS

59. Plaintiffs Brian and Connie Jacobsen began attending MHC in April 2008,

became members of MHC in January 2010, and resigned their memberships on April 3, 2014.

From April 2008 through March 2014, the Jacobsens donated in excess of $90,000 to MHC

by online contributions, checks and cash.

60. Plaintiffs Ryan and Arica Kildea were members of MHC during a period

covered by this lawsuit (2011-Spring 2013). During that period, they donated in excess of

$2,700 to MHC. The Kildeas donated to MHC believing that their donations were going to

the MHC campus they designated, Shoreline Campus.

61. The Jacobsens and Kildeas believed in and supported the mission of MHC,

which they understood was to preach the gospel, make disciples, and plant churches at home

and abroad. They believed they had found a church home that was led by men of integrity

where they could trust that their contributions would be honestly utilized; where their

donations would be an important part of the Body of Christ striving to serve a world in need

of Christ. The Jacobsens not only gave financially, but also gave a significant amount of time

volunteering in various roles.

62. In February 2012, the Jacobsens became deacons in the church, a position that

carried leadership responsibilities with it. It was important to them that their money and

efforts be used honestly and in a way that contributed to the mission of MHC, and that

showed the love of Christ to the world.

63. MHC made extensive use of the Internet and technology from the earliest days

of the church. The Jacobsens and Kildeas were frequently solicited for donations in church

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services through sermon videos, campaign video clips, and entreaties from pastoral staff.

Through their years at MHC, the Jacobsens would also frequently receive emails from RICO

Defendants, their co-conspirators, and other MHC leaders and staff telling them about MHC

projects such as Global Fund, Campus Fund, and the Jesus Festival. These emails frequently

came with requests for donations to those projects. Moreover, the Jacobsens often went

online and viewed the MHC website where they would see videos and other content

promoting these projects. These communications encouraged the Jacobsens belief that MHC

and the RICO Defendants were honestly serving the cause of Christ in many different ways,

and in response they donated more than $90,000 to MHC over a period of six years.

64. The Jacobsens donated to the MHC general fund, from which monies were

taken to scam the New York Times bestseller list, they donated to the Bellevue Campus

Fund, and they donated over and above their normal giving during fundraising drives,

including the year-end 2013 campaign. After MHC received ECFA certification in September

2012, a big deal was made of it by RICO Defendants and other senior leadership at MHC.

The ECFA certification reinforced the Jacobsens belief that MHC finances were being

managed with integrity.

65. In March 2014, after learning that the RICO Defendants had fraudulently used

MHC funds to scam the New York Times bestseller list, and witnessing how they tried to

conceal their wrongdoing behind extremely controlling and tight non-disclosure agreements,

the Jacobsens were forced to reassess their confidence in MHC and the RICO Defendants.

They immediately stopped donating to the church, with their last donation dated March 5,

2014. After much prayer and investigation, as well as seeing the twisting of the truth by MHC

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and RICO Defendants in response to the revelations, they came to realize they had

irretrievably lost their confidence that the RICO Defendants and other MHC senior leadership

were leading in an upright and godly manner.

66. The Jacobsens were astonished at the lack of transparency and the lack of a

sense of accountability that they experienced from the RICO Defendants and other MHC

leaders they had previously trusted so implicitly. Because of those concerns, they came to the

conclusion they were unable, in good conscience, to continue to donate to MHC, or to

continue to serve in the ch

driscoll complaint

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